In considering deductible expenses, one should note that the deductible is multiplied by your tax rate to arrive at the income tax paid or saved. As many of us pay tax rates of 25% or less, the amount saved on taxes can be small. For example, donation of a $2000 automobile to a charity will result in a $500 reduction in income taxes in the 25% bracket. Most would be wiser to sell the vehicle than give it to charity.